Catenaa, Thursday, April 17, 2025-Nvidia has begun manufacturing AI chips in the United States, establishing operations in Arizona and Texas as trade tensions rise and new tariffs loom under President Donald Trump’s administration.
The tech giant announced that its latest Blackwell chips are now being produced at Taiwan Semiconductor Manufacturing Company (TSMC) facilities in Phoenix. Additionally, Nvidia will begin assembling AI-focused supercomputers in Houston and Dallas through partnerships with Foxconn and Wistron.
The shift comes amid renewed trade pressure. Though many of Trump’s recently announced tariffs remain on hold after market volatility, exemptions for electronics could be temporary. Trump signaled via Truth Social that semiconductors and electronics supply chains are under review, hinting at further action.
While the move is aligned with broader industry trends toward supply chain resilience, the timing reflects growing urgency. Experts say the strategy began before Trump’s latest tariffs, but the new trade risks accelerate its significance.
US production, however, may not shield consumers from price hikes. Many chip components, materials and tools remain subject to tariffs, and increased manufacturing costs could ripple through consumer tech.
Still, Nvidia CEO Jensen Huang called the transition historic. “The engines of the world’s AI infrastructure are being built in the United States for the first time,” Huang said in a statement.
AMD also joined the trend, announcing plans to build chips at TSMC’s Arizona plant.
